Freddie Scappaticci (pictured in 1974), who was previously named as an IRA double agent

The head of MI5 will be questioned over an alleged IRA double agent code-named Stakeknife, who is being investigated for 17 murders.

Freddie Scappaticci, 72, reputedly led the IRA's internal security unit, known as the 'nutting squad', while also passing on information to British forces.

He was arrested in January on suspicion of murder, torture and kidnap - but denies all allegations.

This week MI5 boss Sir Andrew Parker will be asked to make a statement detailing what the agency knew of Stakeknife's alleged crimes, reported The Sunday Times.

Police detectives are said to be probing whether MI5 officers colluded with the IRA and let them kill suspected informants to protect Stakeknife's cover because he was so valuable to them.

They are reportedly being led by the Constable of Bedfordshire police, Jon Boutcher, in a £35million enquiry titled Operation Kenova which is said to have uncovered a cache of documents on Stakeknife in the MI5 headquarters.

A source told the Times: 'Kenova has found documents... which are very telling about the role that our man played in certain things. They are documents that the service has kept that they probably should have got rid of.'

The source added: 'Boutcher has upset quite a few people at the service. He is not in a cosy relationship with them. The victims' families are his priority.'

Scappaticci is pictured at the 1987 funeral of IRA man Larry Marley. He denied being involved in terrorism but has been widely named as an IRA enforcer and double agent

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Scappaticci, nicknamed 'Scap', was the grandson of an Italian immigrant who moved to Northern Ireland in search of employment.

He lived and worked as a builder in West Belfast before he was reportedly interned in the early 1970s alongside Sinn Fein leader Gerry Adams and a number of other high profile republicans.

It was claimed he joined the IRA as a low level footsoldier before rising through the ranks.

After he was named in the press in 2003, it was reported that Scappaticci had fled Belfast.

The man formerly named as IRA double agent 'Stakeknife' was brought before Westminster Magistrates Court last week and admitted animal porn charges

Last week's charges came about as a result of Operation Kenova, a probe by Bedfordshire Police into wrongdoing during the Troubles.

Kenova detectives held Scappaticci for questioning in February this year.

Speaking after last week's court hearing, Bedfordshire Police Chief Constable Jon Boutcher said: 'Today's conviction came about as a result of material recovered during a search conducted by the Kenova team.

'This result is an indication that wherever criminal behaviour is identified during my investigation, evidence will be presented for the purposes of prosecution.

'Operation Kenova continues to recover evidence in relation to our core terms of reference and as and when it is appropriate to speak further, I will do so.'

Who was 'Stakeknife' and what are the claims against him?

The notorious double agent 'Stakeknife' was a top-level IRA figure who passed information to the British.

He had worked his way into the 'nutting squad', the IRA's version of the KGB, which interrogated and punished suspected spies.

It is claimed he was feared by even the most hardened IRA gunmen and bombers.

A brutal beating persuaded him to become an informer, previous reports have claimed.

In 2012, former Northern Ireland General Sir John Wilsey described the agent Stakeknife as 'a golden egg' and the 'jewel in the crown' of intelligence sources.

The agent reportedly received payments of up to £80,000 a year for information about kidnappings, bombings and shootings.

Sir John Stevens in 2003, with his report into the killings during the Troubles

The allegations against Stakeknife were laid bare in a damning report by former Metropolitan Police Commissioner Sir John Stevens in 2003.

Discussing the report in Parliament in 2003, Labour MP Kevin McNamara said: 'It is alleged that Stakeknife was a low-ranking Irish Republican Army volunteer, who was recruited to the FRU in 1978.

'As a double agent, he was tasked with advancing himself in the paramilitary group, and he became head of the IRA internal security unit, the nutting squad.

'For that service, he was paid the salary of a then Cabinet Minister - £80,000 a year; moneys were deposited into a bank account based in Gibraltar.

'As head of the nutting squad, Agent Stakeknife would have been in charge of vetting all recruits to the IRA and seeking out British moles.

'If that were true, he would have been involved in kidnap, interrogation, torture and punishment.

'He would have taken part in anything up to 40 murders of suspected informers. He would be guilty of colluding in the murder of IRA volunteers, police officers, soldiers and civilians.'

After Scappaticci was alleged to be 'Stakeknife' by disaffected Army agent Kevin Fulton in 2003, he was reportedly moved to a safehouse.

A newspaper report at the time stated: 'Wherever he tries to begin a new life with a new identity he will always be a hunted man.'